Prescribing the Procedures in the Acceptance of Property Donations to the Bureau of Internal Revenue

March 16, 1999 REVENUE MEMORANDUM ORDER NO. 28-99 SUBJECT : Prescribing the Procedures in the Acceptance of Property Donations to the Bureau of Internal Revenue TO : All Revenue Officers and Others Concerned I. OBJECTIVE: This order is issued to guide all BIR offices on the procedures to be followed regarding the acceptance of property donations to the Bureau of Internal Revenue (BIR). II. DEFINITION OF TERMS: A. Donated Property refers to a tangible or intangible property of significant value or use, transferred for free to the BIR by any person, whether natural or juridical, resident or non-resident. B. Tangible property refers to a property which physically exists, such as land, building, office machine, computer hardware, vehicle, etc. C. Intangible property refers to a property of abstract value such as bonds, stocks, rights, software licenses, etc. D. Donor refers to any person, whether natural or juridical, resident or nonresident, and includes other government agencies or institution, whether local or foreign, desiring to donate property/ies to the BIR. cdll E. Donee refers to the BIR represented by the Commissioner of Internal Revenue who will accept the donation. F. User refers to a particular service or unit of the BIR which is the intended beneficiary or which will be the actual user of the property donated or intended to be donated. III. PROCEDURES: Upon receipt of the communication from the donor signifying its desire to donate property/ies, the User, thru the Assistant Commissioner concerned, shall: A. Forward the Deed of Donation to the Law Division of the Legal Service for comment and endorsement. B. Upon favorable endorsement by the Law Division, recommend the approval and signing of the Deed of Donation by the Commissioner. C. If the issuance of tax exemption ruling is requested by the Donor, the User shall recommend and/or endorse its approval to the Law Division. llcd D. Furnish a copy of the Deed of Donation to each of the following Offices: 1. Systems Standards and Technology Management Division of IPQS for information technology (IT) related donations. 2. General Services Division (GSD) for non-IT related donations. 3. Records and Control Section of GSD for issuance of Memorandum of Receipts (MR). 4. Office of the Commissioner, for record purposes. 5. Accounting Division, for recording in the books of accounts of the Bureau. E. Accept the donation and utilize the same exclusively for official function/use. IV. EFFECTIVITY This Order takes effect immediately. LibLex (SGD.) BEETHOVEN L. RUALO Commissioner of Internal Revenue